All public sector staff in Bahrain are guaranteed a 15 per cent pay rise as part of a BD200 million ($530 million) initiative to increase government workers' salaries.

Half of that money will be used to fund 15 per cent rises for all civilian and military employees registered with the Civil Service Bureau (CSB).

Around BD70 million will pay for a new Standard of Living Improvement allowance for low-income employees, on top of the 15 per cent salary increase.

The remaining BD30 million will be used to give every pensioner registered with the General Organisation of Social Insurance (Gosi) an extra BD75 a month.

Civil Service Bureau (CSB) president Ahmed Al Zayed revealed details of the package yesterday at a Press conference, during which he described it as an immediate answer to Bahrainis' calls for better living standards.

"It ensures everyone benefits, but without forgetting to give extra help to low and medium-income families, who are in more need of support," he said.

His Majesty King Hamad ordered the public sector pay rises on Thursday as he addressed National Dialogue participants at Al Rawdha Palace, where he was presented with their final visions by National Dialogue chairman Khalifa Al Dhahrani.

The increase is effective from last Monday and will be reflected in people's pay packets at the end of this month.

"All employees benefiting will get their salaries by August 25 as usual," Al Zayed told the Press conference at CSB headquarters, Juffair.

However, he said Gosi would be responsible for deciding when pensioners started receiving their extra BD75.

"For pensioners, the organisation will decide on the exact date," he said.

Al Zayed explained the Standard of Living Improvement allowance would be added monthly to the salary of every low-income employee - including civilian staff in the public sector and military staff - and would range from BD50 to BD60.

"Employees with a grade of one to eight will be paid BD60 (extra) monthly, while those with grades nine until third executive will be paid BD50 (extra) monthly," he said.

"This will mean the lowest salary for those registered with the bureau will be BD402, after it used to be BD300 last October."

Around 35,000 civilian employees will benefit from pay rises, while 31,000 pensioners will benefit from the BD75 grant. – TradeArabia News Service